The NBA improves its liquidity. american basketball league has shot up its debt to 6,970 million dollars after issuing notes totaling $271 million and adding $138 million to an existing line of credit, according to Sporty.
The Fitch Ratings agency has rated the notes issued by the National Basketball Association (NBA) as A-one of the agency’s highest ratings and which reflects a low risk of non-payment by the competition.
“The league maintains significant resources and has the oversight and demonstrated willingness to help struggling franchises,” Fitch said in a statement. “Franchisees are further supported by NBA initiatives to bolster player development through avenues such as the G-League and participate in potential emerging revenue streams such as eSports,” he added.
The NBA has issued notes with an A- rating, one of the agency’s highest ratings.
At the beginning of the year, it was announced that the commissioner of the NBA, Adam Silver, and the president of the French Republic, Emmanuele Macron, held a meeting so that in 2024 a game of the regular NBA league will be played again in France.
Faced with this situation of globalization, Mexico is studying the possibility of creating a franchise and entering to compete in the American basketball league. On December 24, the match between the Miami Heat and San Antonio Spurs was played in Mexico City.
The American competition billed more than 10,000 million dollars in the 2021-2022 season, the highest revenue figure in its history. The increase in billing represents a growth of 20% compared to the season before Covid-19, when the NBA registered revenues of 8.3 billion dollars.
The NBA is not the only competition that is turning to notes and bonds to improve its liquidity situation. Liberty Media, owner of Formula 1 since 2017, launched a $500 million bond issue in March convertible into ordinary shares with the objective of repurchasing the current 1.4% convertible bonds, maturing in 2023, and thus reducing its debt.
Also, in April, FC Barcelona closed the placement of 1,500 million in corporate bonds which will be used for the complete remodeling of the Camp Nou and in mid-May, FC Porto launched a capital increase of forty million euros, after issuing eight million shares at five euros per title and a gross fixed interest rate of 6.3 % annual.
2023-06-07 08:25:46
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